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A gift tax is very rare and most Americans don't need to pay tax on ordinary gifts. The person who gives the gift, not the person who receives it, must pay the tax.
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I was given a car is there a gift tax in Ohio?
There is a federal gift tax if someone gives you more than the $15,000 annual gift tax exemption, and they would need to file an IRS Form 709 and pay the tax.
What is the difference between an estate tax and gift tax?
Estate has to do with when someone dies. Gift tax has to do with when someone makes a gift of larger than a certain value.
If I pay off a credit card debt for someone using my own credit card does anyone have to pay tax on it?
Probably not. I think you would have two options on how to classify this. You could either treat it as a loan, ie. you loaned money to someone to pay off their credit card. Receiving a loan is not taxable, but there should be a bona fide expectation that you are going to be paid back. Of course, if you are going to charge your friend interest on that loan the interest would be taxable income. The other option would be to treat it as a gift. As long as you are under the gift threshold (in 2008 you can give someone a gift up to $12,000 and there is no tax) there is no tax from anyone. If you are calling it a gift and it was more than $12,000 you may need to file a gift tax return and pay a gift tax. Note that the person GIVING a gift is responsible for paying the gift tax, not the person receiving the gift.
You would like to give someone in need a cash gift can you claim it on your taxes at the end of the year as a chairtable gift?
No. Gifts or donations to any individual taxpayer is never deductible on your 1040 income tax return.
Is it better to sell or gift a vehicle to a family member?
If you gift a vehicle to someone that is a family member, there will be a tax that the person would be responsible for. The vehicle can even be sold for just one dollar to avoid that tax.
Do you pay tax on a gift that you then sell?
For federal income tax purposes, you would not pay tax on the gift itself, but you would pay a tax on the increase in value (its appreciation) from the time you inherit it until the time you sell it. As far as state income taxes, that depends on the particular state you are in, so you have to check that out with someone familiar with the tax laws of that state.
When must a gift tax be paid?
If you give someone more than $15,000 per annum (as of 2012), but you can deduct that tax obligation from your lifetime gift tax exclusion.
If someone gives you a car as a gift how much sales tax would you pay to register in Florida?
You should not have to pay sales taxes in Florida if it was a gift. Cloud Chaserz
Who pay gift tax?
The person making a large gift (i.e., over $15,000 in 2012) would owe the tax.
What would gift tax be on 75000.00?
You would take off the annual exemption of 15,000 (in 2012) and calculate the tax on the remaining $60,000, which could be as much as 50 percent. However, the gift giver can apply part of their lifetime gift tax exemption and not pay any tax.
What is the tax percentage for gift tax?
The tax percentage for the gift tax is generally 45 percent.
Is there tax on gift cards?
No. If there was, it would be dumb to get a gift card in the first place. It would be smarter to just give money.
